West Bank and Gaza Strip are Israeli-occupied with current status subject to the Israeli-Palestinian Interim Agreement - permanent status to be determined through further negotiation; Israel removed settlers and military personnel from the Gaza Strip in August 2005."

The international community has long recognized the unlawfulness of the Israeli settlements in the Occupied Territories. UN Security Council Resolution 465 (of 1 March 1980) called on Israel "... to dismantle the existing settlements and in particular to cease, on an urgent basis, the establishment, construction and planning of settlements in the Arab territories occupied since 1967, including Jerusalem".

However, the international community failed to take any measure to implement this resolution. Most Israeli settlements in the Occupied Territories were built after this resolution was passed, with the greatest expansion having taken place in the past decade. The establishment and expansion of settlements and related infrastructure in the West Bank is continuing on a daily basis, contrary to Israel's commitment under the UN-sponsored 2003 Roadmap peace plan. This week the Israeli government confirmed its plan to built 3,500 new settlement houses in the East Jerusalem area of the West Bank.

As well as violating international humanitarian law per se, the implementation of Israel's settlement policy in the Occupied Territories violates fundamental human rights provisions, including the prohibition of discrimination. The seizure and appropriations of land for Israeli settlements, bypass roads and related infrastructure and discriminatory allocation of other vital resources, including water, have had a devastating impact on the fundamental rights of the local Palestinian population, including their rights to an adequate standard of living, housing, health, education, and work, and freedom of movement within the Occupied Territories.